The Hacker News — Cyber Security, Hacking, Technology News

A zero-day vulnerability has been discovered in the desktop version for end-to-end encrypted Telegram messaging app that was being exploited in the wild in order to spread malware that mines cryptocurrencies such as Monero and ZCash.

The Telegram vulnerability was uncovered by security researcher Alexey Firsh from Kaspersky Lab last October and affects only the Windows client of Telegram messaging software.

The flaw has actively been exploited in the wild since at least March 2017 by attackers who tricked victims into downloading malicious software onto their PCs that used their CPU power to mine cryptocurrencies or serve as a backdoor for attackers to remotely control the affected machine, according to a blogpost on Securelist.

Here's How Telegram Vulnerability Works

The vulnerability resides in the way Telegram Windows client handles the RLO (right-to-left override) Unicode character (U+202E), which is used for coding languages that are written from right to left, like Arabic or Hebrew.

According to Kaspersky Lab, the malware creators used a hidden RLO Unicode character in the file name that reversed the order of the characters, thus renaming the file itself, and send it to Telegram users.

For example, when an attacker sends a file named "photo_high_re*U+202E*gnp.js" in a message to a Telegram user, the file's name rendered on the users' screen flipping the last part.

Therefore, the Telegram user will see an incoming PNG image file (as shown in the below image) instead of a JavaScript file, misleading into downloading malicious files disguised as the image.

"As a result, users downloaded hidden malware which was then installed on their computers," Kaspersky says in its press release published today.

Kaspersky Lab reported the vulnerability to Telegram and the company has since patched the vulnerability in its products, as the Russian security firm said: "at the time of publication, the zero-day flaw has not since been observed in messenger's products."

Hackers Used Telegram to Infect PCs with Cryptocurrency Miners

During the analysis, Kaspersky researchers found several scenarios of zero-day exploitation in the wild by threat actors. Primarily, the flaw was actively exploited to deliver cryptocurrency mining malware, which uses the victim's PC computing power to mine different types of cryptocurrency including Monero, Zcash, Fantomcoin, and others.

While analyzing the servers of malicious actors, the researchers also found archives containing a Telegram's local cache that had been stolen from victims.

In another case, cybercriminals successfully exploited the vulnerability to install a backdoor trojan that used the Telegram API as a command and control protocol, allowing hackers to gain remote access to the victim’s computer.

"After installation, it started to operate in a silent mode, which allowed the threat actor to remain unnoticed in the network and execute different commands including the further installation of spyware tools," the firm added.

Firsh believes the zero-day vulnerability was exploited only by Russian cybercriminals, as "all the exploitation cases that [the researchers] detected occurring in Russia," and a lot of artifacts pointed towards Russian cybercriminals.

The best way to protect yourself from such attacks is not to download or open files from unknown or untrusted sources.

The security firm also recommended users to avoid sharing any sensitive personal information in messaging apps and make sure to have a good antivirus software from reliable company installed on your systems.

There was a time when hackers simply defaced websites to get attention, then they started hijacking them to spread banking trojan and ransomware, and now the trend has shifted towards injecting scripts into sites to mine cryptocurrencies.

Thousands of government websites around the world have been found infected with a specific script that secretly forces visitors' computers to mine cryptocurrency for attackers.

The cryptocurrency mining script injection found on over 4,000 websites, including those belonging to UK's National Health Service (NHS), the Student Loan Company, and data protection watchdog Information Commissioner's Office (ICO), Queensland legislation, as well as the US government's court system.

Users who visited the hacked websites immediately had their computers' processing power hijacked, also known as cryptojacking, to mine cryptocurrency without their knowledge, potentially generating profits for the unknown hacker or group of hackers.

It turns out that hackers managed to hijack a popular third-party accessibility plugin called "Browsealoud," used by all these affected websites, and injected their cryptocurrency-mining script into its code.

Browsealoud is a popular third-party browser plugin that helps blind and partially-sighted users access the web by converting site text to audio.

The script that was inserted into the compromised Browsealoud software belongs to CoinHive—a browser-based Monero mining service that offers website administrators to earn revenue by utilizing CPU resources of visitors.

The mining software was found in more than 4,200 websites, including The City University of New York (cuny.edu), Uncle Sam's court information portal (uscourts.gov), the UK's Student Loans Company (slc.co.uk), privacy watchdog The Information Commissioner's Office (ico.org.uk) and the Financial Ombudsman Service (financial-ombudsman.org.uk), UK NHS services, Manchester.gov.uk, NHSinform.scot, agriculture.gov.ie, Croydon.gov.uk, ouh.nhs.uk, legislation.qld.gov.au, the list goes on.

After UK-based infosec consultant Scott Helme raised the alarm about this hack when one of his friends mentioned getting anti-virus alerts on a UK Government website, BrowseAloud’s operator Texthelp took down its site to resolve the issue.

Here’s what Texthelp's chief technology officer Martin McKay said in a blog post:

"In light of other recent cyber attacks all over the world, we have been preparing for such an incident for the last year. Our data security action plan was actioned straight away and was effective, the risk was mitigated for all customers within a period of four hours."

"Texthelp has in place continuously automated security tests for Browsealoud - these tests detected the modified file, and as a result, the product was taken offline."

This action eventually removed Browsealoud from all websites immediately, addressing the security issue without its customers having to take any action.

The company also assured that "no customer data has been accessed or lost," and that its customers will receive a further update as soon as the security investigation gets completed.

Two days ago when infosec bods claimed to have uncovered what's believed to be the first case of a SCADA network (a water utility) infected with cryptocurrency-mining malware, a batch of journalists accused other authors of making fear-mongering headlines, taunting that the next headline could be about cryptocurrency-miner detected in a nuclear plant.

It seems that now they have to run a story themselves with such headlines on their website because Russian Interfax News Agency yesterday reported that several scientists at Russia's top nuclear research facility had been arrested for mining cryptocurrency with "office computing resources."

The suspects work as engineers at the Russian Federation Nuclear Center facility—also known as the All-Russian Research Institute of Experimental Physics—which works on developing nuclear weapons.

The center is located in Sarov, Sarov is still a restricted area with high security. It is also the birthplace of the Soviet Union's first nuclear bomb.

In 2011, the Russian Federation Nuclear Center switched on a new supercomputer with a capacity of 1 petaflop, making it the twelfth most powerful in the world at the time.

According to Russian media reports, the engineers had tried to use one of Russia's most powerful supercomputers housed in the Federal Nuclear Center to mine Bitcoins.

The suspects were caught red-handed while attempting to connect the lab's supercomputer to the internet, which was supposed to be offline to ensure security, the nuclear center's security department was alerted.

Once caught, the engineers were handed over to the Federal Security Service (FSB).

"There has been an unsanctioned attempt to use computer facilities for private purposes including so-called mining," Tatyana Zalesskaya, head of the Institute's press service, told Interfax news agency.

"Their activities were stopped in time. The bungling miners have been detained by the competent authorities. As far as I know, a criminal case has been opened regarding them," Zalesskaya added, without revealing the exact number of employees detained.

The Federal Security Service (FSB) has yet to issue a statement on the arrests and criminal charges.

Cryptocurrency has gained tremendous popularity over the past year. Mining a single Bitcoin is not an ice cakewalk, as it requires an enormous amount of computational power and huge amounts of energy.

According to media reports, Russia is becoming a hotbed of cryptocurrency mining due to its low-cost energy reserves. One Russian businessman, Alexey Kolesnik, reportedly also bought two power stations exclusively to generate electricity for Bitcoin-mining data centers.

Coincheck, a Tokyo-based cryptocurrency exchange, has suffered what appears to be the biggest hack in the history of cryptocurrencies, losing $532 million in digital assets (nearly $420 million in NEM tokens and $112 in Ripples).

In 2014, Mt Gox, one of the largest bitcoin exchange at that time, filed for bankruptcy after admitting it had lost $450 million worth of Bitcoins.

Apparently, the cryptocurrency markets reacted negatively to the news, which resulted in 5% drop in Bitcoin price early this morning.

In a blog post published today, the Tokyo-based cryptocurrency exchange confirmed the cyber heist without explaining how the tokens were stolen, and abruptly froze most of its services, including deposits, withdrawals and trade of almost all cryptocurrencies, except Bitcoin.

Coincheck also said the exchange had even stopped deposits into NEM cryptocurrencies, which resulted in 16.5% drop in NEM coin value, as well as other deposit methods including credit cards.

During a late-night press conference at the Tokyo Stock Exchange, Coincheck Inc. co-founder Yusuke Otsuka also said that over 500 million NEM tokens (then worth around $420 million) were taken from Coincheck's digital wallets on Friday, but the company didn’t know how the tokens went missing, according to new source Asahi.

The digital-token exchange has already reported the incident to the law enforcement authorities and to Japan's Financial Services Agency to investigate the cause of the missing tokens.

"We will report on the damage situation and cause of the case, measures to prevent recurrence, but first we would like you to take every possible measure to protect our customers," said Executives of the Financial Services Agency (translated).

This incident marks yet another embarrassing hack in the world of digital currency technology, once again reminding us that the volatility in cryptocurrency prices is not going away anytime soon.

So far, the exchange has not provided any official statement regarding the cause of this hack. We will keep you updated about this incident. Stay Tuned!

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Pavel Lerner, a prominent Russian blockchain expert and known managing director of one of the major crypto-exchanges EXMO, has allegedly been kidnapped by "unknown" criminals in the Ukranian capital of Kiev.

According to Ukraine-based web publication Strana, Lerner, 40-year-old citizen of Russia, was kidnapped on December 26 when he was leaving his office in the center of town (located on the Stepan Bandera Avenue).

The information comes from an anonymous source in Ukrainian law enforcement agencies, though multiple investigations are currently underway to find out why and by whom Lerner was kidnapped.

Lerner is a recognized IT specialist in Ukraine who led a number of startups related to blockchain technology development and mining operations.

Lerner is also the managing director of EXMO, a major UK-based cryptocurrency exchange founded in 2013 and well-known with Russians for accepting ruble payments.

Law enforcers in Kiev have begun an investigation and are currently conducting search operation, working out all possible leads in the case which is described as the kidnapping.

EXMO's representatives confirmed media reports in a statement to a local crypto journal BitNovosti and appealed for any information that could lead to the finding of Lerner.

The company representatives also assured its customers that EXMO operations were not affected by the incident and that Lerner did not have direct access to any cryptocurrency account or other personal data.

"We are doing everything possible to speed up the search of Pavel Lerner. Any information regarding his whereabouts is very much appreciated," PR-department of EXMO said.

"Despite the situation, the exchange is working as usual. We also want to stress that nature of Pavel’s job at EXMO doesn’t assume access either to storages or any personal data of users. All users funds are absolutely safe."

Lerner case has been considered to be yet another case involving a Russian national with cryptocurrency background.

In July this year, Alexander Vinnik, a 38-year-old Russian citizen and operator of cryptocurrency exchange BTC-e, was detained in Northern Greece at the request of US law enforcement authorities. The Greece court in October also ruled to extradite Vinnik to the United States.

The US authorities accused Vinnik of crimes related to the hack of Mt. Gox, which was shut down in 2014 following a massive series of mysterious robberies, which totaled at least $375 million in Bitcoin.

If you receive a video file (packed in zip archive) sent by someone (or your friends) on your Facebook messenger — just don’t click on it.

Researchers from security firm Trend Micro are warning users of a new cryptocurrency mining bot which is spreading through Facebook Messenger and targeting Google Chrome desktop users to take advantage of the recent surge in cryptocurrency prices.

Dubbed Digmine, the Monero-cryptocurrency mining bot disguises as a non-embedded video file, under the name video_xxxx.zip (as shown in the screenshot), but is actually contains an AutoIt executable script.

Once clicked, the malware infects victim’s computer and downloads its components and related configuration files from a remote command-and-control (C&C) server.

Digimine primarily installs a cryptocurrency miner, i.e. miner.exe—a modified version of an open-source Monero miner known as XMRig—which silently mines the Monero cryptocurrency in the background for hackers using the CPU power of the infected computers.

Besides the cryptocurrency miner, Digimine bot also installs an autostart mechanism and launch Chrome with a malicious extension that allows attackers to access the victims’ Facebook profile and spread the same malware file to their friends' list via Messenger.

Since Chrome extensions can only be installed via official Chrome Web Store, "the attackers bypassed this by launching Chrome (loaded with the malicious extension) via command line."

"The extension will read its own configuration from the C&C server. It can instruct the extension to either proceed with logging in to Facebook or open a fake page that will play a video" Trend Micro researchers say.

"The decoy website that plays the video also serves as part of their C&C structure. This site pretends to be a video streaming site but also holds a lot of the configurations for the malware’s components."

It's noteworthy that users opening the malicious video file through the Messenger app on their mobile devices are not affected.

Since the miner is controlled from a C&C server, the authors behind Digiminer can upgrade their malware to add different functionalities overnight.

Digmine was first spotted infecting users in South Korea and has since spread its activities to Vietnam, Azerbaijan, Ukraine, Philippines, Thailand, and Venezuela. But since Facebook Messenger is used worldwide, there are more chances of the bot being spread globally.

When notified by Researchers, Facebook told it had taken down most of the malware files from the social networking site.

Facebook Spam campaigns are quite common. So users are advised to be vigilant when clicking on links and files provided via the social media site platform.

Security researchers have uncovered a new widespread malware campaign targeting cryptocurrency users, believed to be originated from Lazarus Group, a state-sponsored hacking group linked to the North Korean government.

The United States has officially blamed North Korea for global WannaCry ransomware attack that infected hundreds of thousands of computers across more than 150 countries earlier this year.

In separate news, security experts have blamed Lazarus group for stealing bitcoins worth millions from the South Korean exchange Youbit, forcing it to shut down and file for bankruptcy after losing 17% of its assets.

Researchers from security firm Proofpoint have published a new report, revealing a connection between Lazarus Group and a number of multistage cyber attacks against cryptocurrency users and point-of-sale systems.

"The group has increasingly focused on financially motivated attacks and appears to be capitalizing on both the increasing interest and skyrocketing prices for cryptocurrencies," the researchers said. "The Lazarus Group’s arsenal of tools, implants, and exploits is extensive and under constant development."

After analyzing a large number of spear phishing emails with different attack vectors from multiple spear phishing campaigns, researchers discovered a new PowerShell-based reconnaissance implant from Lazarus Group arsenal, dubbed PowerRatankba.

Encryption, obfuscation, functionality, decoys, and command-and-control servers used by PowerRatankba closely resembles the original Ratankba implant developed by Lazarus Group.

The PowerRatankba implant is being spread using a massive email campaign through the following attack vectors:

PowerRatankba, with at least two variants in the wild, acts as a first-stage malware that delivers a fully-featured backdoor (in this case, Gh0st RAT) only to those targeted companies, organizations, and individuals that have interest in cryptocurrency.

"During our research, we discovered that long-term sandboxing detonations of PowerRatankba not running cryptocurrency related applications were never infected with a Stage2 implant. This may indicate that the PowerRatankba operator(s) were only interested in infecting device owners with an obvious interest in various cryptocurrencies," reads the 38-page-long report [PDF] published by Proofpoint.

It's notable that PowerRatankba and Gh0st RAT don't exploit any zero-day vulnerability; instead, Lazarus Group relies on mixed programming practices, like C&C communication over HTTP, use of Spritz encryption algorithm and the Base64-encoded custom encryptor.

"It is already well-known that Lazarus Group has targeted and successfully breached several prominent cryptocurrency companies and exchanges," the researchers say. "From these breaches, law enforcement agencies suspect that the group has amassed nearly $100 million worth of cryptocurrencies based on their value today."

Besides stealing cryptocurrencies, the group was also found infecting SoftCamp point-of-sale (POS) terminals, largely deployed in South Korea, using RatankbaPOS malware for stealing credit card data.

Since RatankbaPOS was sharing same C&C server as the PowerRatankba implant, it is believed that both the implants are linked to Lazarus Group.

The explosive growth in cryptocurrency values has motivated not only traders but also hackers to invest all their time and resources in making digital wealth.

More details about the new malware campaigns run by Lazarus Group can be found in the in-depth report [PDF], titled "North Korea Bitten by Bitcoin Bug—Financially motivated campaigns reveal a new dimension of the Lazarus Group," published by PowerPoint on Wednesday.

Just last week, researchers from AdGuard discovered that some popular video streaming and ripper sites including openload, Streamango, Rapidvideo, and OnlineVideoConverter hijacks CPU cycles from their over hundreds of millions of visitors for mining Monero cryptocurrency.

Now, researchers from Moscow-based cyber security firm Kaspersky Lab have uncovered a new strain of Android malware lurking in fake anti-virus and porn applications, which is capable of performing a plethora of nefarious activities—from mining cryptocurrencies to launching Distributed Denial of Service (DDoS) attacks.

Dubbed Loapi, the new Android Trojan can perform so many more malicious activities at a time that can exploit a handset to the extent that within just two days of infection it can cause the phone's battery to bulge out of its cover.

Described as a "jack-of-all-trades" by the researchers, Loapi has a modular architecture that lets it conduct a variety of malicious activities, including mining the Monero cryptocurrency, launching DDoS attacks, bombarding infected users with constant ads, redirecting web traffic, sending text messages, and downloading and installing other apps.

Loapi Destroyed An Android Phone In Just 2 Days

When analyzed a Loapi sample, Kaspersky's researchers discovered that the malware mines the Monero cryptocurrency so intensely that it destroyed an Android phone after two days of testing, causing the battery to bulge and deforming the phone cover.

According to researchers, the cybercriminals behind Loapi are the same responsible for the 2015 Android malware Podec. They are distributing the malware through third-party app stores and online advertisements that pose as apps for "popular antivirus solutions and even a famous porn site."

Upon installation, Loapi forces the user to grant it 'device administrator' permissions by looping a pop-up until a victim clicks yes, which gives the malicious app the same power over your smartphone that you have.

This highest level privilege on a device would also make the Loapi malware ideal for user espionage, though this capability is not yet present in the malware, the Kaspersky researchers think this can be included in the future.

Loapi Malware Aggressively Fights to Protect Itself

Researchers also said the malware "aggressively fights any attempts to revoke device manager permissions" by locking the screen and closing phone windows by itself.

Loapi communicates with the module-specific command and control (C&C) servers, including advertisement module, SMS module and mining module, web crawler, and proxy module, for different functions to be performed on the infected device.

By connecting with one of the above-mentioned C&C servers, Loapi sends a list of legitimate antivirus apps that pose it danger and claims the real app as malware and urges the user to delete it by showing the pop-up in a loop until the user finally deletes the app.

"Loapi is an interesting representative from the world of malicious Android apps. It’s creators have implemented almost the entire spectrum of techniques for attacking devices: the Trojan can subscribe users to paid services, send SMS messages to any number, generate traffic and make money from showing advertisements, use the computing power of a device to mine cryptocurrencies, as well as perform a variety of actions on the internet on behalf of the user/device," the researchers concluded.

Fortunately, Loapi failed to make its ways to Google Play Store, so users who stick to downloads from the official app store are not affected by the malware. But you are advised to remain vigilant even when downloading apps from Play Store as malware often makes its ways to infect Android users.

Bitcoin is breaking every record—after gaining 20% jump last week, Bitcoin price just crossed the $14,800 mark in less than 24 hours—and there can be no better reason for hackers to put all of their efforts to steal skyrocketing cryptocurrency.

NiceHash, the largest Bitcoin mining marketplace, has been hacked, which resulted in the theft of more than 4,700 Bitcoins worth over $57 million (at the time of breach).

And guess what? You'll be surprised to know that the stolen BTC now worth over $70 million—in less than 24 hours.

Founded in 2014, NiceHash is a cloud-based crypto-mining marketplace that connects people from all over the world to rent out their spare computing power to other in order to create new coins.

On Wednesday, several NiceHash users reported that their BTC wallets had been emptied, which was later confirmed by NiceHash after its service went offline claiming to be undergoing maintenance.

At the time of writing, the NiceHash service is still offline with a post on its website, confirming that "there has been a security breach involving NiceHash website," and that hackers stole the contents of the NiceHash Bitcoin wallet.

The company did not provide any further details about the security incident, but it did say that NiceHash has paused its operations for next 24 hours while it figures out exactly how many numbers of BTC were swiped from its website and how it was taken.

Although NiceHash has not confirmed the number of bitcoins stolen from its virtual wallet, some of its customers have circulated a wallet address that suggests around 4,736 BTC—worth more than $70 million based on today's price—in total were drained from the company's wallet.

NiceHash has initiated an investigation into the matter, and has reported the incident to the "relevant authorities and law enforcement" and has been "co-operating with them as a matter of urgency."

The company also assured its customers that it is "fully committed to restoring the NiceHash service with the highest security measures at the earliest opportunity," but it's still unclear how the company will manage to settle everything if it is unable to compensate the total loss.

"We understand that you will have a lot of questions, and we ask for patience and understanding while we investigate the causes and find the appropriate solutions for the future of the service. We will endeavor to update you at regular intervals," the company says.

Following the security incident, NiceHash is recommending its customers to change their passwords—both on NiceHash and other services, if they are using the same credentials.

NiceHash is the latest cryptocurrency company to suffer a significant blow in recent months. Another major hack took place last month due to a flaw in Parity's wallet that caused over $160 million in ETH (Ether) to be frozen, while nearly $32 million in ETH was stolen by hackers in July.

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Some websites have found using a simple yet effective technique to keep their cryptocurrency mining javascript secretly running in the background even when you close your web browser.

Due to the recent surge in cryptocurrency prices, hackers and even legitimate website administrators are increasingly using JavaScript-based cryptocurrency miners to monetize by levying the CPU power of their visitor's PC to mine Bitcoin or other cryptocurrencies.

After the world's most popular torrent download website, The Pirate Bay, caught secretly using Coinhive, a browser-based cryptocurrency miner service, on its site last month, thousands of other websites also started using the service as an alternative monetization model to banner ads.

However, websites using such crypto-miner services can mine cryptocurrencies as long as you're on their site. Once you close the browser window, they lost access to your processor and associated resources, which eventually stops mining.

Unfortunately, this is not the case anymore.

Security researchers from anti-malware provider Malwarebytes have found that some websites have discovered a clever trick to keep their cryptocurrency mining software running in the background even when you have closed the offending browser window.

How Does This Browser Technique Work?

According to a blog post published Wednesday morning by Malwarebytes, the new technique works by opening a hidden pop-under browser window that fits behind the taskbar and hides behind the clock on your Microsoft's Windows computer.

From there (hidden from your view), the website runs the crypto-miner code that indefinitely generates cryptocurrency for the person controlling the site while eating up CPU cycles and power from your computer until and unless you notice the window and close it.

Researchers say this technique is a lot harder to identify and able to bypass most ad-blockers because of how cleverly it hides itself. The crypto-miner runs from a crypto-mining engine hosted by Amazon Web Servers.

"This type of pop-under is designed to bypass adblockers and is a lot harder to identify because of how cleverly it hides itself," Jérôme Segura, Malwarebytes' Lead Malware Intelligence Analyst, says in the post. "Closing the browser using the "X" is no longer sufficient."

To keep itself unidentified, the code running in the hidden browser always takes care of the maximum CPU usage and maintains threshold to a medium level.

You can also have a look at the animated GIF image that shows how this clever trick works.

This technique works on the latest version of Google's Chrome web browser running on the most recent versions of Microsoft's Windows 7 and Windows 10.

How to Block Hidden Cryptocurrency Miners

If you suspect your computer CPU is running a little harder than usual, just look for any browser windows in the taskbar. If you find any browser icon there, your computer is running a crypto-miner. Now simply, kill it.

More technical users can run Task Manager on their computer to ensure there is no remnant running browser processes and terminate them.

Since web browsers themselves currently are not blocking cryptocurrency miners neither does the integrated Windows Defender antivirus software, you can use antivirus programs that automatically block cryptocurrency miners on web pages you visit.

For this, you can contact your antivirus provider to check if they do.

Alternatively, you can make use of web browser extensions, like No Coin, that automatically block in-browser cryptocurrency miners for you, and regularly update themselves with new mining scripts that come out.

Created by developer Rafael Keramidas, No Coin is an open source extension that blocks Coin Hive and other similar cryptocurrency miners and is available for Google Chrome, Mozilla Firefox, and Opera.

No Coin currently does not support Microsoft Edge, Apple Safari, and Internet Explorer. So, those using one of these browsers can use an antimalware program that blocks cryptocurrency miners.

Tether, a Santa Monica-based start-up that provides a dollar-backed cryptocurrency tokens, has claimed that its systems have been hacked by an external attacker, who eventually stole around $31 million worth of its tokens.

With a market capitalization of $673 million, Tether is the world's first blockchain-enabled platform to allow the traditional currency to be used like digital currency.

Tether serves as a proxy for the US dollar, Euro (and soon Japanese yen) that can be sent between exchanges including Bitfinex, Poloniex, Omni, GoCoin and other markets.

According to an announcement on the company's official website posted today, the unknown hacker stole the tokens (worth $30,950,010) from the Tether Treasury wallet on November 19 and sent them to an unauthorized Bitcoin address.

The stolen tokens will not be redeemed, but the company is in the process of attempting token recovery in order to prevent them from entering the broader cryptocurrency market.

The attacker is holding stolen funds at the following bitcoin address:

16tg2RJuEPtZooy18Wxn2me2RhUdC94N7r

So, in case, you receive any USDT (that's what Tether calls its platform's USD currency; 1USDT=1USD) "tokens from the above address, or from any downstream address that receives these tokens, do not accept them, as they have been flagged and will not be redeemable by Tether for USD," the company warned.

Bitcoin price dropped as much as 5.4 percent, the most since November 13.

To prevent the stolen coins from moving from the attacker's address, the company has temporarily suspended its back-end wallet service and also provided a new version of its software.

The Tether Team has also ensured that Tether issuances have not been affected by this attack, and all of its tokens remain fully backed by assets in the Tether reserve.

Instead, the only tokens that won't be redeemed at this moment are those stolen from Tether treasury yesterday. However, these tokens will be returned to treasury once the software enhancements are in place.

Tether is also undertaking a thorough investigation of the incident in an attempt to prevent similar attacks in the future.

This incident is the latest in a long list of attacks against the cryptocurrency markets. Just last week, about $300 million worth of Ether from dozens of Ethereum wallets was permanently locked up after someone triggered a flaw in Parity multi-sig wallets.

However, the blockchain, the revolutionary technology behind Bitcoin and other digital currencies, is not always about cryptocurrencies.

Though it is a decentralized public database which ensures that all transactions are properly conducted and recorded, Blockchains can be used for a wide variety of applications, such as for digital identity management, smart assets, digital voting, distributed cloud storage, and so on.

While Bitcoin has long been dominant in the cryptocurrency market, the second largest cryptocurrency—Ethereum—offers much faster data processing than Bitcoin.

Moreover, Bitcoin was designed to be used as a currency only, whereas the Ethereum blockchain facilitates the development of all sorts of next-generation decentralized applications.

Organisations are recognizing Ethereum potential to make processes more efficient and secure, and programmers are opting for Ethereum development.

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Last month the popular torrent website The Pirate Bay caused some uproar by adding a Javascript-based cryptocurrency miner to its site with no opt-out option, utilizing visitors' CPU power to mine Monero coins in an attempt to gain an extra source of revenue.

Now D-Link has been caught doing the same, although there's high chance that its website has been hacked.

D-Link's official website for Middle East (www.dlinkmea.com) has been found secretly adding a JavaScript-based cryptocurrency miner, according to a blog post published by security firm Seekurity on Tuesday.

Seekurity team was made aware of the issue after Facebook user Ahmed Samir reported that visiting on D-Link Middle East website caused his web browser utilizing a "super high CPU" power usage.

As shown in the screenshot below, a separate domain was loaded using a hidden iFrame for each page view, which included the cryptocurrency mining script.

Five days after Seekurity team reported the issue to D-Link, the company took down the website and redirected it to D-Link USA website (us.dlink.com), without responding to the security firm.

Since the company redirected the whole website to another domain instead of just removing a single line of hidden iFrame code, there are high chances that D-Link has recently been a victim of cyber attack.

Anyways, cryptocurrency mining has become a competitive revenue stream these days, and it is trending among hackers as well.

So, it would be no surprise if hackers compromise popular websites and embed their cryptocurrency miners to harness visitor's system computing power in an attempt to mine digital coins.

Just yesterday it was reported that more than 200 of the top 100,000 websites on the web were found hosting suspicious code from CoinHive and JSEcoin, two popular cryptocurrency mining services, forcing their visitors to run miner code on their computers unknowingly.

If you are using a good antivirus solution, like Malwarebytes and Kaspersky, then you are protected, as most security solutions have already started blocking cryptocurrency mining scripts to prevent their customers from unauthorized mining and extensive CPU usage.

When yesterday I was reporting about the sudden outbreak of another global ransomware attack 'Bad Rabbit,' I thought what could be worse than this?

Then late last night I got my answer with a notification that Coinhive has been hacked — a popular browser-based service that offers website owners to embed a JavaScript to utilise their site visitors' CPUs power to mine the Monero cryptocurrency for monetisation.

Reportedly an unknown hacker managed to hijack Coinhive's CloudFlare account that allowed him/her to modify its DNS servers and replace Coinhive's official JavaScript code embedded into thousands of websites with a malicious version.

https://coin-hive[.]com/lib/coinhive.min.js

Hacker Reused Leaked Password from 2014 Data Breach

Apparently, hacker reused an old password to access Coinhive's CloudFlare account that was leaked in the Kickstarter data breach in 2014.

"Tonight, Oct. 23th at around 22:00 GMT our account for our DNS provider (Cloudflare) has been accessed by an attacker. The DNS records for coinhive.com have been manipulated to redirect requests for the coinhive.min.js to a third party server." Coinhive said in a blog post today.

"This third-party server hosted a modified version of the JavaScript file with a hardcoded site key."

As a result, thousands of sites using coinhive script were tricked for at least six hours into loading a modified code that mined Monero cryptocurrency for the hacker rather than the actual site owners.

"We have learned hard lessons about security and used 2FA [Two-factor authentication] and unique passwords for all services since, but we neglected to update our years old Cloudflare account."

Your Web-Browsers Could Be Mining Cryptocurrencies Secretly for Strangers

Coinhive gained media attention in last weeks after world's popular torrent download website, The Pirate Bay, caught secretly using this browser-based cryptocurrency miner on its site.

Immediately after that more than thousands of other websites also started using Coinhive as an alternative monetisation model by utilising their visitors' CPU processing power to mine digital currencies.

Even hackers are also using Coinhive like services to make money from compromised websites by injecting a script secretly.

Well, now the company is also looking ways to reimburse its users for the lost revenue due to breach.

How to Block Websites From Hijacking Your CPU to Mine Cryptocoins

Due to concerns mentioned above, some Antivirus products, including Malwarebytes and Kaspersky, have also started blocking Coinhive script to prevent their customers from unauthorised mining and extensive CPU usage.

You can also install, No Coin Or minerBlock, small open source browser extensions (plug-ins) that block coin miners such as Coinhive.

Mining cryptocurrencies can be a costly investment as it takes a monstrous amount of computing power, and thus hackers have started using malware that steals computing resources of computers it hijacks to make lots of dollars in digital currency.

Security researchers at security firm ESET have spotted one such malware that infected hundreds of Windows web servers with a malicious cryptocurrency miner and helped cybercriminals made more than $63,000 worth of Monero (XMR) in just three months.

According to a report published by ESET today, cybercriminals only made modifications to legitimate open source Monero mining software and exploited a known vulnerability in Microsoft IIS 6.0 to secretly install the miner on unpatched Windows servers.

Although ESET's investigation does not identify the attackers, it reports that the attackers have been infecting unpatched Windows web servers with the cryptocurrency miner since at least May 2017 to mine 'Monero,' a Bitcoin-like cryptocurrency.

The vulnerability (CVE-2017-7269) exploited by the attackers was discovered in March 2017 by Zhiniang Peng and Chen Wu and resides in the WebDAV service of Microsoft IIS version 6.0—the web server in Windows Server 2003 R2.

Therefore, hackers are only targeting unpatched machines running Windows Server 2003 to make them part of a botnet, which has already helped them made over $63,000 worth of Monero.

Since the vulnerability is on a web server, which is meant to be visible from the internet, it can be accessed and exploited by anyone. You can learn more about the vulnerability here.

The newly discovered malware mines Monero that has a total market valuation of about $1.4 billion, which is far behind Bitcoin in market capitalisation, but cybercriminals’ love for Monero is due to its focus on privacy.

Unlike Bitcoin, Monero offers untraceable transactions and is anonymous cryptocurrency in the world today.

Another reason of hackers favouring Monero is that it uses a proof-of-work algorithm called CryptoNight, which suits computer or server CPUs and GPUs, while Bitcoin mining requires specific mining hardware.

However, this is not the first time when analysts have spotted such malware mining Monero by stealing computing resources of compromised computers.

In mid-May, Proofpoint researcher Kafeine discovered cryptocurrency mining malware, called 'Adylkuzz,' which was using EternalBlue exploit—created by the NSA and dumped last month by the Shadow Brokers in April—to infect unpatched Windows systems to mine Monero.

A week before that, GuardiCore researchers discovered a new botnet malware, dubbed BondNet, that was also infecting Windows systems, with a combination of techniques, for primarily mining Monero.

Researchers have been warning for years about critical issues with the Signaling System 7 (SS7) that could allow hackers to listen in private phone calls and read text messages on a potentially vast scale, despite the most advanced encryption used by cellular networks.

Despite fixes being available for years, the global cellular networks have consistently been ignoring this serious issue, saying that the exploitation of the SS7 weaknesses requires significant technical and financial investment, so is a very low risk for people.

However, earlier this year we saw a real-world attacks, hackers utilised this designing flaw in SS7 to drain victims' bank accounts by intercepting two-factor authentication code (one-time passcode, or OTP) sent by banks to their customers and redirecting it to themselves.

If that incident wasn't enough for the global telecoms networks to consider fixing the flaws, white hat hackers from Positive Technologies now demonstrated how cybercriminals could exploit the SS7 flaw to take control of the online bitcoin wallets to steal all your funds.

Created in the 1980s, SS7 is a telephony signalling protocol that powers over 800 telecom operators across the world, including AT&T and Verizon, to interconnect and exchange data, like routing calls and texts with one another, enabling roaming and other services.

Here's How Hackers Hacked into Bitcoin Wallet and Stole Fund

While demonstrating the attack, the Positive researchers first obtained Gmail address and phone number of the target, and then initiated a password reset request for the account, which involved sending a one-time authorization token to be sent to the target's phone number.

Just like in previous SS7 hacks, the Positive researchers were able to intercept the SMS messages containing the 2FA code by exploiting known designing flaws in SS7 and gain access to the Gmail inbox.

From there, the researchers went straight to the Coinbase account that was registered with the compromised Gmail account and initiated another password reset, this time, for the victim's Coinbase wallet. They then logged into the wallet and emptied it of crypto-cash.

Fortunately, this attack was carried out by security researchers rather than cybercriminals, so there wasn't any actual fraud of bitcoin cryptocurrencies.

This issue looks like a vulnerability in Coinbase, but it's not. The real weakness resides in the cellular system itself.

Positive Technologies has also posted a proof-of-concept video, demonstrating how easy it is to hack into a bitcoin wallet just by intercepting text messages in transit.

Different SS7 Attack Scenarios

This attack is not limited to only cryptocurrency wallets. Any service, be it Facebook or Gmail, that relies on two-step verification are vulnerable to the attacks.

The designing flaws in SS7 have been in circulation since 2014 when a team of researchers at German Security Research Labs alerted the world to it.

The flaws could allow hackers to listen to phone calls and intercept text messages on a potentially massive scale, despite the most advanced encryption used by cellular network operators.

Last year, the researchers from Positive Technologies also gave demonstrations on the WhatsApp, Telegram, and Facebook hacks using the same designing flaws in SS7 to bypass two-factor authentication used by those services.

At TV program 60 Minutes, Karsten Nohl of German Security Research Labs last year demonstrated the SS7 attack on US Congressman Ted Lieu's phone number (with his permission) and successfully intercepted his iPhone, recorded call, and tracked his precise location in real-time just by using his cell phone number and access to an SS7 network.

Although the network operators are unable to patch the issues anytime soon, there's little a smartphone user can do.

The world's popular torrent download website, The Pirate Bay, has again been in a new controversy—this time over secretly planting an in-browser cryptocurrency miner on its website that utilizes its visitors' CPU processing power in order to mine digital currencies.

The Pirate Bay is the most popular and most visited file-sharing website predominantly used to share copyrighted material free of charge. The site has usually been in the news for copyright infringement by movie studios, music producers and software creators.

The Pirate Bay has recently been caught generating revenue by secretly utilizing CPU power of its millions of visitors to mine a Bitcoin alternative called Monero without their knowledge.

The modern Internet depends on advertising revenue to survive, which apparently sometimes spoils users' experience. But The Pirate Bay is trying to choose a different approach.

Visitors to the Pirate Bay recently discovered a JavaScript-based cryptocurrency miner from Coin Hive (a service that helps websites monetise through CPU power) on the torrent site. This code makes use of the CPU power from the visitor's computer to mine Monero digital coins.

However, shortly after the issue was first reported by TorrentFreak, The Pirate Bay issued a statement on its website, saying that it tested the miner for just 24 hours to see if the miner could be used as an alternative to generate revenue, allowing it get rid of annoying ads on the torrent website altogether.

"This is only a test. We really want to get rid of all the ads. But we also need enough money to keep the site running," says The Pirate Bay.

"Let us know what you think in the comments. Do you want ads or do you want to give away a few of your CPU cycles every time you visit the site?"

The Pirate Bay also clarified that the miner software should consume only 20 to 30 percent of CPU power and should be restricted to run in only one single tab.

No other further details were revealed by The Pirate Bay, but threads on Reddit suggested that the Pirate Bay users were not happy about the miner, with several users complaining that the website enabled the miner "without explicit knowledge or authorization of users."

Many users had called this idea "dumb," but borrowing website visitors' extra CPU resources to allow sites generate revenue could place an end to the shady advertisements.

But yes, users should be warned of any such miner by the respective website.

The question remains:

Would you allow in-browser cryptocurrency miners instead of annoying ads to help websites generate revenue?

China's central bank today announced an immediate ban on all ICO—Initial Coin Offering—fundraising, to prevent fraud and illegal fundraising.

ICO is the hottest new thing in the blockchain world, which is an alternative to crowdfunding that lets a firm raise funding from multiple sources.

The People's Bank of China (PBoC), the country's central bank and financial regulator, has issued an official notice on Monday, forbidding "all types of currency issuance financing activities" that have "seriously disrupted the economic and financial order."

This PBoC's bold move has been backed by many other Chinese government administrators and regulators including the China Securities Regulatory Commission, China Insurance Regulatory Commission and the Ministry of Industry and Commerce, and China Banking Regulatory Commission.

This move marks the end of an era of ICO fundraising in China.

The regulator claims that ICOs are being misused for "illegal fund-raising, financial fraud, pyramid schemes and other criminal activities" and from now, the Chinese government will closely monitor ICOs for signs of illegal activity.

The ban has also been applied to those individuals and organizations who have previously completed ICO fundraising, requiring them to return all investor funds as soon as possible.

The prices of Bitcoin and Ethereum—two of the largest cryptocurrencies in the market—slumped after the announcement.

For those who aren't aware of ICOs:

In the world of cryptocurrencies, ICO is an unregulated way to raise funds for businesses and startups—usually cryptocurrency-related—in exchange for virtual coins over blockchain rather than company shares.

In other words, companies offer investors a crypto-token in exchange against cryptocurrencies like Bitcoin or Ethereum, which investors can easily sell or trade on any cryptocurrency exchange.

The popularity of ICOs has surged in China this year, with 65 ICOs raising a total of 2.62 billion yuan (~$397.1 million) as of July from 105,000 individuals, according to Chinese news agency Xinhua.

"The growth of a few growing China based blockchain projects, i.e., NEO, will be slowing down after this announcement. This is similar to an event back in 2013 when China banned exchanges from allowing people to buy into Bitcoin using yuan. Bitcoin bounced back stronger after few years. It’s only a matter of time before the same happens with NEO." the founder of Its Blockchain, Hitesh Malviya shared his comment on the announcement.

"Furthermore, the proposal to banning ICO is yet to be activated, and we can hope for the officials to rethink over time, whatever could be the future of ICO in China."

"Disruptive technology always finds a way around restrictive regulations, so it would be wise on the Chinese government’s part to think of mitigating these fears while having some regulatory measures over ICOs. Until that time, we can only speculate."

In the United States, the Securities and Exchange Commission (SEC) has also issued an official warning about the risks of ICOs but has not made a firm move yet.

An unknown hacker has so far stolen more than $471,000 worth of Ethereum—one of the most popular and increasingly valuable cryptocurrencies—in yet another Ethereum hack that hit the popular cryptocurrency investment platform, Enigma.

According to an announcement made on their official website an hour ago, an "unknown entity" has managed to hack their website, slack account and email newsletter accounts, and uploaded a fake pre-sale page with a fake ETH address to send money.

The hackers also spammed their fake address in Enigma's newsletter and slack accounts for pre-sale coins, tricking victims to send their cryptocurrencies to hacker's address.

Etherscan, a popular search engine for the Ethereum Blockchain that allows users to look up, confirm and validate transactions easily, has already flagged the address as compromised, but people are still sending ETH to the fake address (given below).

0x29d7d1dd5b6f9c864d9db560d72a247c178ae86b

At the time of writing, the hackers have made over 1,487.90 Ether and are still receiving payments.

The hack comes a few days after Enigma posted an article, educating users on how to avoid phishers, scammers, spammers, and stay safe during a token sale.

"As we work hard to build the future of data and crypto trading and investing, we want to take a few moments to talk about safety," Enigma Project wrote in the blog post. "Due to our strong growth, our community has become a target. The worst elements of the crypto scene—scammers and phishers—are attracted to good projects and good communities."

This incident marks as the fifth Ethereum hack within two months, following a theft of:

A former the United States Secret Service agent who stole hundreds of thousands of dollars worth of Bitcoins during an investigation into then-largest underground marketplace Silk Road has now pleaded guilty to money laundering.

Shaun W. Bridges is one of two former US undercover agents who pleaded guilty in 2015 to one count of money laundering and one count of obstruction and was sentenced in December same year to almost six years in prison for stealing over $800,000 in Bitcoin while investigating Silk Road.

35-years-old Bridges, who had been a Special Agent with the U.S. Secret Service for almost 6 years, along with his partner stole money from Silk Road accounts and framed someone else for the laundering, which even led the Silk Road founder Ross Ulbricht to plan a murder.

Ulbricht was convicted in February 2015 of running the Silk Road underground black market and is now serving life in prison sentence.

According to the Department of Justice, Bridges is believed to have stolen additional funds from a digital wallet belonging the Secret Service on two different occasions months after he was initially charged.

The missing Bitcoins were found by the Secret Service agency in December when Bridges was sentenced after admitting that he moved and stole approximately 1,600 Bitcoin (at the time valued nearly $359,005 and almost $6.6 million today).

According to his guilty plea in this case, Bridges said it used a private key to access a digital wallet belonging to the Secret Service account, and subsequently transferred the bitcoins to "other digital wallets at other Bitcoin exchanges to which only he had access."

"In the course of the investigation, U.S. agents were able to locate and seize approximately 600 of the stolen bitcoin and, as part of his plea, Bridges agreed to turn over the remaining stolen Bitcoin," the DoJ said in the statement.

Silk Road was shut down in 2013 after the arrest of Ulbricht. The FBI seized bitcoins (worth about $33.6 million, at the time) from the site, which were later sold in a series of auctions by the United States Marshals Service (USMS).

Before the shutdown, Silk Road was one of the most extensive, sophisticated, and widely-used illegal marketplaces on the internet.

The other Bridges' partner is a 47-year-old former Drug Enforcement Agency (DEA) special agent Carl Mark Force, who is also facing criminal charges.

On Tuesday, Bridges pleaded guilty to one count of money laundering before the United States District Court Judge of the Northern District of California. He will be sentenced on November 7, 2017.